talks

THE CHARITY RESET

Credits: Lloyds Bank Foundation.

Credits: Lloyds Bank Foundation.

THE CHARITY RESET

Matt Hyde
CEO, Lloyds Bank Foundation

Credits: Lloyds Bank Foundation.

Why was I interested in interviewing Matt? He is a British charity leader and Chief Executive of the Lloyds Bank Foundation for England and Wales, a major grant-making organisation that supports small and local charities tackling social disadvantage. He took on the role in 2024 after more than a decade as Chief Executive of The Scout Association, where he oversaw significant growth in membership and helped expand the movement into more disadvantaged communities. Earlier in his career, Matt served as Chief Executive of the National Union of Students, following his own beginnings as a student leader at Queen Mary University of London Students’ Union. Across these roles he has focused on youth development, civic participation, and strengthening civil society. Matt also serves as Vice-Chair of Comic Relief and has supported initiatives promoting volunteering and social action, including co-founding the nationwide “Big Help Out.” He was awarded an Order of the British Empire (OBE) in 2020 for services to young people and the voluntary sector.

The interview above is particularly interesting because it blends personal history with a strategic view of how modern philanthropy and civil society operate. Matt reflects on growing up in a family business deeply rooted in community service and traces how those early experiences shaped his approach to leadership, volunteering, and social change. The conversation also offers rare insight into the mechanics of charitable funding—addressing topics such as grassroots organisations, risk-taking in philanthropy, the pressures of impact measurement, and the balance between corporate backing and community autonomy. By combining personal anecdotes with reflections on systemic challenges in the voluntary sector, the interview provides a thoughtful perspective on how philanthropy can empower local organisations while navigating complex institutional and economic realities.

Here’s our exchange:

Where are you originally from, and what was your childhood like there?

I was born in Peterborough, Cambridgeshire, England, and grew up above a family business on the High Street of a small market town called Ramsey, also in Cambridgeshire.

The business sold furniture, drapery, giftware, school uniforms, and even soap powder. Over four generations of Hydes, the shop had pretty much sold everything since George Hyde established it in 1876.

In many ways, the family business—G.B. Hyde and Son—was run like a non-profit organisation. The focus was always on providing a service to the community. That included supplying essential goods to Fenland villages around Ramsey for elderly and disabled residents, often as a loss leader. Originally, a horse and cart distributed goods, but by the time I was growing up it had been replaced by a small van. There were about eight charity collection tins on the counter, and my dad was always fundraising.

What was your family dynamic, and who were the key figures in your upbringing?

I was the fourth of four children—the happy accident!—with twin brothers seven years older than me and a sister ten years older.

It was a very loving household, and the sense of service was central to family life. Mum and Dad volunteered most nights of the week and are still regularly volunteering in their mid-80s. They have always been regular churchgoers and deeply connected to civil society organisations in town, including Rotary, the Women’s Institute, Scouts, schools, and more.

Who were the most influential people in your childhood, and what lessons did you learn from them?

Mum and Dad were the key figures in my life and instilled in me the importance of service and social action. Like me, all my siblings have dedicated much of their lives to community building and serving others.

Beyond my family, scout leaders and teachers also had a significant influence on my development.

What is one of your earliest memories, and how do you think it shaped who you are today?

When I was 14, the showroom of the family business—next to our house—burned down while I was studying at home. It was shocking. Many memories went up in smoke as the building burned completely to the ground.

Thankfully, no one was hurt. Watching my parents bounce back taught me an important lesson in resilience. As the fire was being put out, my dad asked me to write a sign for the shop door that said: “We are still open for business.”

It was a profoundly impressionable moment for me. I later wrote about that experience during Covid.

Were there any cultural or family traditions from your childhood that helped define your values?

We were all encouraged to take part in Scouts—or Girlguiding in my sister’s case. I was actually born on 22 February, the same day as Baden-Powell.

Through Scouts, I first experienced leadership and volunteering. In 1985, when I was ten, I also raised money for the first time by organising a sponsored leapfrog down the main street of the town to support the very first Comic Relief campaign—the fundraising initiative created by Richard Curtis and Sir Lenny Henry that has since raised more than £1 billion for good causes.

Forty years later, I now serve as Vice-Chair of Comic Relief.

What motivated you to study what you studied?

I fell in love with literature at school and initially wanted to become a journalist. I spent two summers doing work experience with local newspapers and even managed to land front-page stories.

It seemed inevitable that I would study English. However, when I became involved in the student movement, I realised I wanted to help create change rather than simply write about it.

At what age did you start working, and what did your first job involve?

If we exclude sweeping hair at a local hairdresser’s—where I lasted one day—and delivering newspapers, my first real job was as an elected student officer after studying English at Queen Mary University of London.

I was elected Students’ Union President and then re-elected, serving from 1996 to 1998.

How would you describe your current job and its responsibilities?

As Students’ Union President, I represented the students of the university, chaired the board, and oversaw a wide range of services.

Students’ unions are ideal places to accelerate experiential learning in a safe environment. You have a staff team that operates a bit like a civil service supporting elected leaders.

It was a transformational experience. Many politicians, charity leaders, and business figures in the UK began their careers as student leaders.

In a philanthropic landscape often dominated by large institutions and metrics-driven funding, how do you protect the space for small, grassroots charities that may be rich in impact but poor in data?

Lloyds Bank Foundation has a strong track record of supporting small charities, which make up the vast majority of the 170,000 charities in England and Wales.

We recently conducted major research showing that the key ingredients for helping smaller charities grow include unrestricted income, multi-year funding, and capacity-building support—such as access to consultants or infrastructure assistance. In our case, charities can also leverage additional assets from Lloyds Bank, including volunteers.

Part of our role is to help grassroots organisations tell their stories and demonstrate their impact. New tools in data, digital technology, and AI are helping us capture evidence of impact without placing unnecessary administrative burdens on small charities.

You’ve said the Foundation exists to support the most underfunded and overlooked organisations. How do you ensure that support doesn’t come with unintended strings—like pushing small charities to professionalise in ways that dilute their grassroots character?

We are very proud of our track record as a relational funder. Our regional teams build strong relationships with the charities we support, which allows us to understand their unique character.

There are tools we can offer to help charities improve efficiency and impact, but that support must be welcomed by the charity itself—it cannot be imposed.

In a time when trust in big banks and institutions is under pressure, how do you navigate the tension between being a corporate foundation and a force for radical community change?

We are an independent charitable corporate foundation. Our governance is separate from Lloyds Banking Group, and our trustees are legally required to act in the best interests of our beneficiaries and the public.

Remaining focused on our “north star”—serving communities—is essential to maintaining trust. UK charities remain among the most trusted institutions in the country.

Our new strategy, launching in May, also explores how we can leverage more resources from our principal funder, including encouraging more giving from customers, greater staff volunteering, and increased use of social investment.

With so many funders leaning toward measurable innovation, how do you make the case internally—and externally—for backing unproven ideas that may not yield immediate results?

The beauty of being a funder is that we can take a long-term perspective, unlike governments that may focus on short political cycles.

That allows us to take risks. The key is embedding learning and evaluation into our culture so that decisions are informed by evidence. Mistakes will inevitably happen—and that’s acceptable.

In fact, we published research called How to Be Wrong, which emphasised the importance of failure in a culture of risk-taking and learning. Over the past 40 years we have supported charities at their inception that later became household names, including Childline and Changing Faces.

After decades of underinvestment in the voluntary sector, what role do you think institutional funders like yours should play in rebalancing power between charities and their communities?

Our new strategy focuses on strengthening systems that ensure the voluntary and community sector remains central to local communities.

This involves growing philanthropy and volunteering, influencing policy to ensure sustainable funding flows to charities, and encouraging innovation within charities themselves so they can become more resilient.

Charities that embed lived experience in governance and decision-making often have stronger legitimacy within their communities.

Coming from a youth-focused background at the Scouts and NUS, how has your view of leadership changed now that you’re working primarily with adult-led community organisations?

The National Union of Students was student-led, with most participants in their early twenties. Scouts, by contrast, was volunteer-led, and the majority of volunteers were significantly older.

That experience was where I made the transition to working primarily with adult-led community organisations. Interestingly, one of our strategic priorities in Scouts was actually to shift power toward younger people. We had a specific objective to ensure the organisation was shaped by young people themselves.

What’s a recent funding decision that challenged your thinking—or made you question your assumptions about what works in the social sector?

Working closely with the Bank over the past 18 months has challenged one of the assumptions many of us in the social sector hold—that we have a monopoly on delivering social impact.

The reality is more complex. While banks clearly operate with a profit motive, Lloyds also has a mission to Help Britain Prosper. They invest billions of pounds in areas such as social and affordable housing and are led by people who genuinely believe in creating social good.

The Foundation helped launch organisations like Childline, but today many startup charities struggle to get a foothold. What’s changed in the funding environment—and is it harder now to grow something from scratch?

There are still many exciting new charities emerging, often enabled by new technology. I think of initiatives like Parkrun, which has become a global phenomenon, or organisations closer to home such as Citizen Hubs, which we now fund and which have great potential for scaling.

There is strong momentum behind community-led change in the UK at the moment. We are also seeing a wave of new social enterprises, such as Half the Story, which employs people facing barriers to work—including homelessness—to produce award-winning biscuits.

However, developing a sustainable business model from day one is increasingly important. There is simply too much demand and not enough funding. Thinking about longevity and impact from the outset is therefore critical.

The Big Help Out reached millions, but some critics argue that episodic volunteering can dilute the commitment needed for real change. How do you reconcile the desire for scale with the need for sustained, relational forms of volunteering?

I co-founded The Big Help Out in 2023 after we saw a huge surge in volunteering during the pandemic. In the UK, 12.4 million people volunteered during Covid, including 4.6 million for the first time. Of those, 3.8 million said they wanted to volunteer more.

At the same time, one in five people say they have never volunteered simply because they had never thought about it.

The Big Help Out was designed to reach these “unusual suspects,” rather than preaching to those who already volunteer. That meant creating opportunities for people to try volunteering in a simple, one-off way.

I had seen this model work in Scouts, where parents might volunteer for a single evening and discover they enjoyed the experience so much that they continued long-term. My co-founder Catherine Johnstone saw the same pattern during Covid while leading the Royal Voluntary Service’s volunteer responders programme.

People who began by helping once often developed a lifelong volunteering habit. The reality is that pro-social behaviour exists on a spectrum—from occasional acts like litter picking or checking on a neighbour to regular volunteering with organisations like Samaritans or Citizens Advice.

What would it take for funders to move beyond impact reports and start resourcing hope, trust, or patience—things that communities say they value but can’t quantify?

Investing in leaders who inspire trust and hope is a key part of our new strategy, and it requires patience and a long-term perspective.

At the same time, if we want to influence systems and shift funding flows toward community-led organisations, we still need to demonstrate measurable impact.

As Vice-Chair of Comic Relief and a former trustee of NCVO, you’ve seen the sector from multiple vantage points. Where do you see duplication, inefficiency, or groupthink that we’re not talking about enough?

I often quote the phrase that the biggest problem in the voluntary and community sector is that there are too many egos, logos, and silos.

Funders have sometimes supported organisations that are running out of money and are frankly unsustainable. As painful as it may be, we also have a responsibility to help organisations recognise when they need to close, merge, or end their work well.

This is emotionally difficult. That’s why we are working with a consultancy called The Decelerator, which helps organisations wind down responsibly when necessary.

You’ve worked with people with convictions through UNLOCK. What biases or blind spots do funders—including your own—still have when it comes to supporting those with lived experience of the criminal justice system?

Many discriminatory practices still affect people with criminal records, limiting their access to essential services—from insurance and financial products to employment opportunities.

Beyond structural barriers, there are also deeply ingrained social prejudices. These biases can even extend into the governance of charities themselves. People with lived experience of the criminal justice system often struggle to become trustees, despite having valuable perspectives that could improve decision-making.

The Foundation has a long legacy, but legacy can breed caution. How do you stop an organisation like this from becoming risk-averse or overly nostalgic?

By constantly learning, investing in leadership development, staying connected with the outside world, and bringing in new talent—both among trustees and staff.

The world is becoming more complex and challenging. We must continually refresh our thinking to ensure we are prepared not just for today’s challenges but also for those of tomorrow.

If you could wave a wand and rewrite one common funding practice overnight—across the whole sector—what would it be and why?

I would embed unrestricted, multi-year funding as the norm and trust organisations to decide how best to use their resources.

What advice would you give to someone leading a tiny, underfunded charity who keeps getting turned down for grants despite doing transformational work in their community?

Unfortunately, that is a very common situation.

The key is persistence. Continue identifying potential funders, but when you receive a rejection, always ask for feedback. Try to understand why the application was unsuccessful.

Is it the storytelling? The cost structure? A lack of evidence about impact? Or is there something more fundamental about the proposition that needs to change?

In some cases, there may be alternative paths forward—such as partnering or merging with another organisation. It may also be worth exploring whether your model could attract social investment or impact financing, though this is not suitable for every organisation.

Humanity is facing radical changes. To name just ten: geopolitical instability, climate change, economic inequalities, technological risks, public health challenges, political polarization, resource scarcity, humanitarian crises, misinformation, and disparities in global healthcare access. If, in an imaginative exercise, you had the power to solve one of these problems, which one would you choose and why?

I’m not very good at answering hypothetical questions like this, but if we could eliminate economic inequality overnight, it would likely create the conditions needed for stronger global cooperation to address the other challenges you mentioned.

What do you think humans owe each other, if anything at all?

Respect, empathy, compassion, integrity, kindness—and fun.

Interviews often focus on the latest positive news, or interviewees only share what went well. Could you share something from 2025 that didn’t go as expected and what you learned from it?

My Chief Operating Officer moved on to another role. It was a dream opportunity for him, so I was genuinely pleased for him, but it was still a setback for the team, as we had been working extremely well together.

What personal goals—if you feel comfortable sharing them—do you have for 2026?

To successfully launch a strong new strategy for the Foundation, deliver an excellent Big Help Out from 5–8 June—alongside the Eden Project’s Big Lunch—with wide community participation, and celebrate my son’s 18th birthday.

Imagine you are in the final moments of your life. What work-related news would you like to hear, and why?

World peace. And perhaps my beloved Peterborough United winning the Premier League.